Latest Home Buyers Exhaust Income: Survey
ABCNews has a Reuters survey on consumer spending. "Home sales rebounded sharply in the most recent month, but surprisingly, we have not seen a corresponding uptick in sales of home-related goods."
"As we're seeing more lower to middle income households enter the housing market, there is less disposable income to furnish their new homes."
A reader sent in this link, which includes a quote by Robert Prechter. "Near the end of a major expansion, few creditors expect default, which is why they lend freely to weak borrowers. Few borrowers expect their fortunes to change, which is why they borrow freely. Deflation involves a substantial amount of involuntary debt liquidation because almost no one expects deflation before it starts."